AES to Buy Wind-Power Firm

AES Corp., a U.S. power producer with plants in 27 countries, said Tuesday that it had agreed to buy SeaWest Holdings Inc. for about $60 million to expand into wind turbine development.

The purchase of closely held, San Diego-based SeaWest includes 500 megawatts of wind-power generation in California, Wyoming and Oregon, said Arlington, Va.-based AES. The company also announced plans to buy and build SeaWest’s 120-megawatt Buffalo Gap wind power project near Abilene, Texas, at an estimated cost of $165 million.

“This purchase gets us into the wind-power market this year,” said Ned Hall, managing director of global resources for AES.

The company wants to take advantage of federal tax credits and state efforts to expand use of wind power and other sources of electricity that do not burn fossil fuels. Eighteen states have or are seeking renewable energy mandates that would benefit wind-power developers.

In September, AES entered the business of wind turbine development with its purchase of US Wind Force, which is setting up four farms in the Northeast for a total of 300 megawatts. A typical 1-megawatt wind turbine can generate enough power for about 250 average homes, according to the American Wind Energy Assn., a trade group.

AES shares, which had risen 30% in the last year, fell 14 cents to $12.98 on the New York Stock Exchange.